Drawdown meaning

This flowchart outlines the various stages of a UK anti-dumping investigation, initiated when the Trade Remedies Authority (TRA) accepts an application for the imposition of anti-dumping duties...

This Checklist concerns English law legal opinions customarily delivered by a lender’s solicitors as a condition precedent to drawdown of a loan facility. It proceeds, in particular, on the basis that the facility is bilateral, the lending bank is incorporated in the UK (United Kingdom) as lender, and the addressee of the opinion is the Lender, being the law firm’s client. It further proceeds on the footing that the Borrower is a company incorporated in England and Wales, the transaction documentation, upon which the opinion is given, is governed by English law, and the underlying loan is unsecured, without any security interests being taken. For assumptions typically included where security is granted, or where the transaction has a cross‑border element, see Additional assumptions to be considered where the loan is secured and Additional assumptions to be considered where the transaction has a cross‑border aspect below. It forms part of a set of checklists relating to legal opinions. The other Checklists are as follows: English law legal opinion-qualifications...

Introduction Guidance on establishing a medium term note (MTN) programme is set out in Practice Note: Setting up an MTN Programme—timeline of process. This Practice Note concentrates on the steps for an issuance of notes (a drawdown) carried out under an MTN programme (the programme) once that programme has been put in place. Type of drawdown A programme will ordinarily provide for two forms of drawdown: a drawdown agreed between the issuer and a dealer (a dealer drawdown); and a drawdown agreed between the issuer and a group, or syndicate, of dealers (a syndicated drawdown). In addition, the programme will usually permit further dealers to accede to the programme, either as permanent members of the dealer panel or for the purposes of a single drawdown. Notification to dealer(s) The issuer then notifies the dealer(s) of its intention to draw down under the programme—this can be done by means of a term sheet or by way of an Initial...

In this issue: Pensions allowances Mansion House speech Types of pension arrangements Daily and weekly news alerts Dates for your diary Trackers Pensions allowances Coming into force of two tax regulations making corrections to the lifetime allowance abolition provisions As anticipated, two regulations commenced on 18 November 2024, applying retrospectively from 6 April 2024, to fix provisions relating to the abolition of the lifetime allowance. The first is the Pensions (Abolition of Lifetime Allowance Charge etc) (No. 2) Regulations 2024, SI 2024/1012. Among other measures, they: require members to give all pension scheme administrators a copy of their transitional tax-free amount certificate (TTFAC) and to notify them if it is cancelled permit members to transfer pension savings while keeping any lump sum protection available under their enhanced protection adjust the transitional rules for the overseas transfer allowance so funds crystallised into drawdown before 6 April 2024 are not counted twice if moved...

Consult Practice Note: Litigation funding agreements—drawdown processes. For summaries...

Data released by HMRC on 24 April 2025 shows that, across the first quarter of the year, the exchequer dealt with 15,000 tax reclaim applications, awarding an average of £2,881 to each individual claimant. Analysts suggest the running total for overtaxation since 2015—when the government brought in pension freedoms—has now exceeded £1.4bn. The regulations enable members of pension plans aged 55 or above to access a lump sum, or take flexible withdrawals, if desired, from their long-term savings...

ARCHIVED: This Practice Note is archived and no longer maintained. STOP PRESS: The UK’s prospectus regime, previously derived from the EU Prospectus Regulation, has been superseded by the Public Offers and Admission to Trading Regulations 2024 (POATRs), with all detailed admission to trading requirements now contained in the Financial Conduct Authority (FCA) admission rules. The FCA published its final rules on 15 July 2025, which took effect on 19 January 2026. In October 2025, the FCA issued Primary Market Bulletin 58 which, among other matters, offered guidance on the timetable and approval of prospectuses (and supplementary prospectuses) and confirmed the removal of Listing Particulars as an admission document under the new framework. For more on the key aspects of the POATRs relevant to debt capital markets, see Practice Note: The UK Prospectus Regulation—essentials [Archived]—Reform of the UK prospectus regime. This Practice Note focuses on debt capital markets and summarises the required structure and contents of a prospectus prepared under the current UK prospectus regime. It covers:...

THIS PRACTICE NOTE APPLIES TO MONEY PURCHASE ARRANGEMENTS FROM 6 APRIL 2015 From 6 April 2015, new pension flexibilities expanded the retirement choices for DC members and others with ‘flexible benefits’ (in essence, money purchase and/or cash balance entitlements). As part of those reforms, drawdown became more broadly accessible. For background on the changes implemented on 6 April 2015, see Practice Note: Pension freedoms—an introduction [Archived]. This Practice Note concentrates on the legal framework for drawdown arrangements set up on and after 6 April 2015. It also addresses how pre-April 2015 drawdown is treated from that date. For the rules governing drawdown before 6 April 2015, see Practice Note: Drawdown between 6 April 2011 and 5 April 2015 [Archived]. What is drawdown? The label ‘drawdown pension’ (often called ‘flexible income’) replaced ‘unsecured pension’ and ‘alternatively secured pension’ used up to 5 April 2011. Drawdown pension describes the method of paying benefits that allows members to set their own yearly income from a pension arrangement...

In recent years, the phenomenon of older clients who are asset-rich but cash-poor has become increasingly common. Typically, their wealth is locked in a home that has climbed markedly in value over time, while income from pensions and savings has stayed largely static, if not fallen in real terms. Unsurprisingly, many wish to convert that fixed, generally unrealisable wealth into cash without having to sell their home. Equity release basics Equity release may offer a solution. Funds released can be taken as a lump sum, regular income, or a blend of both. Options fall into two main types: Lifetime mortgages, where the homeowner raises money by securing a mortgage on the property. The borrowing is repaid only when the homeowner dies or no longer needs the home (eg on moving permanently into residential care). Home reversion plans, where the owner sells a share, or all, of their home to a reversion company but retains the right to continue living there either rent-free or for...

This Agreement, dated [ • ] 20[ • ], is entered into between the following parties: Parties [ insert name of Borrower ], a company incorporated in England and Wales with registered number [ insert company number ], whose registered office is at [ insert address ] (the Borrower); and [ insert name of Lender ] of [ insert address ] (the Lender). Background (A) [ insert description of background to transaction ]. (B) The Lender has agreed to provide the Facility (as defined below) to the Borrower on the terms and conditions contained in this Agreement...

FORTHCOMING CHANGE: The government has set out its proposals to apply inheritance tax to unspent pension pots on death, effective from 6 April 2027. For further details, please see News Analysis: HMRC confirms new IHT rules on unused pension funds to apply from 6 April 2027...

Proforma checklist of documents for execution at signing and completion meetings in loan transactions This proforma checklist can be used by the lender’s solicitors to monitor, oversee and record the execution of documents at signing and completion meetings, or to be signed and circulated in escrow for closing virtually. It can be adapted for use with the relevant facility agreement. Signing is the point at which the parties execute the agreed versions of the finance documents and the deal becomes binding (albeit, in most cases, subject to certain conditions precedent being satisfied). Completion is the point at which money moves between the parties and the transaction is completed. Often, there is a gap between signing and completion which allows the parties to commit to the deal on signing but leave themselves a short period to satisfy the conditions attaching to funding. In other cases, signing and completion take place on the same day, in which case, all the conditions precedent to funding will need to be satisfied before...

The Finance Act 2004 (FA 2004) sets conditions for pensions and lump sums to be authorised payments. Under FA 2004, a member’s pension from a registered pension scheme must not begin before they reach the normal minimum pension age, unless the ill-health condition is met. In the same way, most lump sums are not payable before that age. The normal minimum pension age was 50 when FA 2004 took effect on 6 April 2006, rose to 55 from 6 April 2010, and will increase to 57 from 6 April 2028, excluding uniformed services pension schemes (army, navy, air force, police and firefighters). Transitional provisions preserve members’ subsisting rights to draw scheme benefits before age 55; this is referred to as a protection pension age. The Pensions Tax Manual confirms that, to hold a protected pension age, the member must have an unqualified right to receive benefits before the normal minimum pension age, i.e. not dependent on another person’s consent (PTM062210)...